OpenAI restructures its startup fund, stripping Sam Altman of ownership

Denis Balibouse/Reuters

OpenAI has made changes to the management structure of its venture capital fund supporting artificial intelligence startups. According to a filing with the US Securities and Exchange Commission (SEC), OpenAI's senior executive Sam Altman no longer owns or controls the fund.

Here's What We Know

Previously, the structure of the fund, under which it was owned by Altman personally despite being positioned as the corporate venture capital arm of OpenAI, raised questions. The company said the original ownership structure was temporary, and the current changes provide further clarity.

Control of the OpenAI startup fund, with $175m in assets raised from partners like Microsoft, has passed to Ian Hathaway, who has led the investment programme since 2021. Sam Altman is no longer the fund's general partner.

OpenAI said an independent investigation found no wrongdoing on Altman's part in relation to the company's product security or finances following his removal from leadership last November.

Sam Altman, who previously led accelerator Y Combinator, is known for his numerous investments outside of OpenAI, including crypto startups, energy companies and fundraisers in the Middle East.

Source: Reuters